Here’s how the 7th Pay Commission can affect your pay, most likely from August 2016!

Here’s how the 7th Pay Commission can affect your pay, most likely from August 2016!

The 7th pay commission has everything to make a central government employee happy and satisfied! The Commission is most likely to decide on a 30% hike on the basic pay. The minimum basic monthly salary recommended by the Commission was Rs 18000 and a 30% hike will make it to Rs 23500!

The 7th Pay Commission headed by Justice AK Mathur (Vivek Rae, retired IAS Officer; Rathin Roy, economist and Meena Agarwal, Secretary of the Commission are some of the other members of the Commission) had submitted its report to the Finance Minister earlier this year in the month of January. The Commission had suggested several recommendations like 23.55% increase in the pay and allowance, 24% hike for pensioners and OROP (One Rank One Pension) for central government employees and paramilitary personnel.

The exact decision of the Commission is impending. The Empowered Committee of Secretaries (13 member secretary level Committee to review the recommendation of the Pay Commission) is likely to make comparisons between the recommendations of the 7th pay commission and the comments from various stakeholders on the 7th Pay Commission. An Implementation Cell has been created in the Finance Ministry to work as the Secretariat of the Empowered Committee of Secretaries.

A Layman’s Guide to Pay Commission

Pay Commission has been set up by the Government of India, since Independence. The Commission is involved in giving recommendations regarding the salary structure of the Central government employees working in the civil and military divisions. Till date seven pay commissions have been set up for the same purpose.

The announcement for the 7th pay Commission was made on 04 February 2014. While Justice AK Mathur was the head of the Commission, other notable members included Vivek Rae, Dr. Rathin Roy and Meena Agarwal.

What will be the lowest and highest basic salary under 7th Pay Commission?

Under 7th Pay Commission the lowest and highest basic salary are Rs 18000 and Rs 250000, respectively. However the 30% hike will round the figures to Rs 23500 and Rs 325000 respectively. The figures reveal the drastic difference between the salary structure of the 7th Pay Commission with that of the 6th Pay Commission.

When is it likely to be implemented?

As mentioned above, the decision regarding implementation of the 30% hike is impending. However as per the latest reports it is likely to be implemented in August 2016.

What are the other salient features of the 7th Pay Commission?

* Annual increment has been hiked to 3%.

* HRA has been increased to 27%, 18% and 9%, if the DA crosses 50%; and further revision to 30%, 20% and 10%, when DA crosses 100%.

* Introduction of Health Insurance Scheme replacing the Central Government Health Scheme (CGHS).

* Introduction of OROP pension scheme for defence personnel

* Child Care Leave to be granted at 100% of salary for first 365 days and at 80% for next 365 days. CCL to be granted for single male parents.

The 7th Pay Commission is going to benefit near about 45 lakh Central government employees and almost 52 lakh pensioners.

Source : jagranjosh

Government Doctors Meet Arun Jaitley, Demand Review Of 7th Pay Commission Recommendations

Government Doctors Meet Arun Jaitley, Demand Review Of 7th Pay Commission Recommendation

New Delhi: Government doctors have met Finance Minister Arun Jaitley and demanded revision of the 7th Pay Commission recommendations.

Representatives of the Federation of Resident Doctors Association (FORDA) and JACSDO (Joint Action Council of Service Doctor Organisation) met Mr Jaitley on Monday and put forward their demands saying, the recommendations are “discriminating to doctors”.

“The Minister listened to our issues patiently and attentively. He was appraised especially for NPA issue. He showed his concern about our salary being relatively reduced by 7 CPC.

“He assured us that our representation is being directed to Secretary Expenditure for re-evaluation. He also assured, if any concern still remains pending in the matter of NPA (and other issues), it shall be scrutinised and considered by forthcoming ‘Anomalies Committee’ which shall be appointed hereafter,” said FORDA in a statement issued on Tuesday.

FORDA and JACSDO have strongly been opposing the recommendations of the 7th Pay Commission and have written to the Prime Minister and Health Minister.

“When the 7th CPC was constituted we doctors were very hopeful that our demands will be looked after, which is increasing Non-Practising Allowance (NPA) to 40 per cent from existent 25 per cent, instead it has been reduced to 20 per cent.

“The basic pay and NPA were merged together while calculating House Rental Allowance (HRA) earlier, but this has now been omitted and HRA will be calculated only with basic pay resulting in less than the desired salary,” said FORDA President Dr Pankaj Solanki.

The doctor’s body also demanded uniform pay scales, night shift allowances which currently exists for nursing staff in government hospitals and the formulation of a uniform central residency scheme for the resident doctors of India.

FORDA is an umbrella organisation of 15,000 resident doctors across 41 government hospitals in the capital.

JACSDO represents 11 organised and unorganised Central Health Services (CHS), Indian Railway Medical Services (IRMS), Indian Ordinance Health Services (IOHS), MCD, NDMC, Delhi administration and ESIC. (PTI)

Source : NDTV

Rs 70000 Crore Allocated For 7th Pay Commission in Budget 2016

Rs 70000 Crore Allocated For 7th Pay Commission in Budget 2016

As much as Rs 70,000 crore has been provisioned in the Union Budget 2016-17 for implementation of Seventh Pay Commission for government employees, a top finance ministry official said.

While the Budget did not provide an explicit overall provision number, the government had said the Seventh Pay Commission hike has been built in as interim allocation for different ministries and Budget numbers were credible.

Implementation of the pay commission report in toto is to cost the government Rs 1.02 lakh crore.

“We have provisioned for around 60-70 per cent of the total burden that was talked about,” the official said adding about Rs 70,000 crore has been provided in the Budget.

“We will wait to see the report of the Committee of Secretaries on the Seventh Pay Commission and decide if we need further allocation,” he said.

The Budget document states that “the implementation of the Seventh Pay Commission due from January 1, 2016 is to be implemented during 2016-17 fiscal as also the revised One Rank One Pension (OROP)scheme for Defence services.”

The finance ministry has provisioned for this in the Demands for Grants for individual departments and ministries. It is built into and subsumed into those allocations.

“No one actually knows what will be the actual burden on the exchequer for the implementation of Pay commission recommendation. We have calculated internally and allocated to various ministries and departments accordingly,” the official said.

The government in January set up a high-powered panel headed by Cabinet Secretary P K Sinha to process the recommendations of the seventh Pay Commission which will have bearing on the remuneration of 47 lakh central government employees and 52 lakh pensioners.

The Empowered Committee of Secretaries will function as a Screening Committee to process the recommendations with regard to all relevant factors of the Commission in an expeditious detailed and holistic fashion.

The official further said the finance ministry has fully provided for OROP scheme for defence personnel.
Faced with the burden of Pay Commission recommendations, there were concerns on whether the government would be able to stick to the fiscal deficit target of 3.9 per cent for 2016-17.

However, in Budget Finance Minister Arun Jaitley dispelled doubts and promised to adhere to the fiscal consolidation roadmap and stick to 3.9 per cent deficit target.

PTI